TRANSJAMAICAN Highway Limited led gains on the Jamaica Stock Exchange in January, helping to drive a sharp rebound in the main market at the start of 2026, even as trading liquidity thinned and investor participation remained uneven.

The toll road operator’s stock surged nearly 41 per cent for the month — the strongest performance among main market listings — anchoring a rally that pushed the JSE Main Index up 8.95 per cent to 346,437.17 points. Market capitalisation climbed to $1.86 trillion, from $1.71 trillion at the end of December, reflecting strong price gains concentrated in a relatively small group of stocks. The advance followed a weak close to 2025, when the main market ended the year down more than five per cent, reinforcing the sense that January’s performance represented a rebound from depressed levels rather than a continuation of late-December momentum.

Despite the headline advance, the January rally was narrowly driven. More stocks declined than advanced during the month, and a handful of large and mid-cap listings accounted for a disproportionate share of the index’s rise, underscoring how concentrated buying — a pattern already evident late last year — rather than broad market participation shaped the early-year rebound.

While the performance marked the market’s strongest monthly showing in several months, the underlying breadth remained weak. Only 20 stocks advanced, compared with 32 declines, reinforcing the view that index gains were propelled by outsized moves in a few names rather than widespread buying interest.

Beyond TransJamaican Highway, gains in financial and infrastructure stocks provided the backbone of the rally. NCB Financial Group, Guardian Holdings, Kingston Wharves, and Wisynco Group all posted solid advances, reinforcing investor preference for companies with relatively stable cash flows, pricing power, and clearer earnings visibility.

At the same time, several consumer and manufacturing stocks recorded steep declines, including Tropical Battery, Caribbean Producers, and Berger Paints, highlighting continued caution toward businesses exposed to cost pressures, demand uncertainty, and margin risk.

Trading activity told a more subdued story. While the number of transactions rose year-on-year, total traded value fell sharply, with average daily trading value easing to about $125 million, well below December levels despite the stronger price performance. Block trades were minimal, accounting for less than one per cent of activity, pointing to incremental buying rather than large institutional repositioning.

The divergence was even more pronounced in the Junior Market, which slipped 0.33 per cent in January and remained down more than 10 per cent year-on-year. Market capitalisation edged lower, and average price appreciation across junior stocks was effectively flat, underscoring funding and growth constraints that were already evident at the end of 2025.

By contrast, the USD equities market delivered a strong showing, with its index rising nearly 25 per cent for the month, supported by gains in select dual-currency and infrastructure-linked stocks, though volumes remained thin.

Taken together, January’s performance points to renewed optimism at the top end of the market, but also exposes enduring structural challenges. Rising prices alongside weakening liquidity suggest investors are positioning selectively rather than committing broadly, leaving the durability of the rally dependent on earnings delivery and a recovery in trading depth in the months ahead.